Forex-Metal Daily Analysis - 29/07/10

Forex-Metal

Master Trader
Jul 12, 2010
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The Australian dollar stepped back from the previously reached maximums.

Asian and European trading sessions

Euro: As the risk appetite grew on Wednesday, the euro strengthened against major competitors. The stock markets growth as well as the positive fundamentals rendered support to the euro. The EUR/USD reached maximums around the $1,3040 level.
British Pound: The GBP/USD showed maximums at the $1,5639 level.
Japanese Yen: The Asian stock markets growth supported the yen rate, but on the other hand, the yen price was pressured by the increasing concerns over the slow-down of the US economy rehabilitation rate.
Australian Dollar: On Wednesday the Australian dollar had to step away from the previously reached maximums. The released inflation data turned out to be below the expectations. The Consumer price index for the second quarter grew for only 0.6% when the forecasted growth was at 1.0%. Therefore, the expectations for the principal rate increase by the RBA reduced. Therefore, according to the forecasts, the Reserve Bank of Australia would leave the principal rate unchanged at the level of 4.5%.
New-Zealand Dollar: According to the expectations, tomorrow the Reserve bank of New-Zealand will increase the principal rate to the 3.00% level.
Oil: The oil rate had a negative influence from the released US oil inventories, which showed growth. During the morning trading the oil prices lowered to $77.28 mark per barrel.

American trading session
US Dollar: The US dollar pulled back against the yen as the negative fundamentals were released in the US. The Durable goods orders dropped in June for 1.0%, when experts forecasted growth for 1.0%.
Euro: As the traders still analyze the release of the stress-test results, the published drop of the US durable goods orders also influenced the investors’ uncertainty in the trading dynamics.

Technical analysis


EURUSD
The pair is aiming to the second level of Fibonacci retracement of 38.2% at 1.31133, if 1.30277 is broken.
Resistance: 1.30277, 1.32285, 1.34334
Support: 1.28630, 1.27009, 1.25690
GBPUSD
The pair has broken 1.5484 again and aiming to 1.56722. At this level the pair should start topping, because of the MACD divergence and channel line. A short roll back maybe expected.
Resistance: 1.56722, 1.58543, 1.60322
Support: 1.54842, 1.52523, 1.50581
USDCHF
The pair has reached 1.06179 and rolling back to 1.05139.
Resistance: 1.06179, 1.07258, 1.08210
Support: 1.05139, 1.03987, 1.02747
USDJPY
The pair is trading in the narrow range between 87.675 and 86.345. Once 86.246 is broken, the pair will decline to 85.161.
Resistance: 88.640, 90.045, 91.254
Support: 86.246, 85.701, 85.161
AUDUSD
The pair may find support at 0.89029. Resistance at 0.90285.
Resistance: 0.90285, 0.91773, 0.93357
Support: 0.89029, 0.87243, 0.82723